If for any reason the capital of a title insurance company becomes impaired, such title insurance company shall forthwith give written notice thereof to the commissioner and shall make no further policies or contracts or reinsurance agreements of title insurance while such impairment exists. Such title insurance company shall immediately call upon its stockholders for such amounts as will restore its capital to an amount prescribed by the commissioner. In case any stockholder neglects or refuses to pay the amount called for, after notice personally given or by advertisement, at such time and in such manner as the commissioner shall approve, the title insurance company shall require the return of the original certificate or certificates of stock held by such stockholder, and, in lieu thereof, issue new certificates in the proportion that the ascertained value of the assets may, as determined by the commissioner, bear to the capital existing immediately prior to the impairment, the title insurance company paying for any fractional parts of shares. The directors of the title insurance company, with the prior consent and approval of the commissioner, may create new stock, and issue certificates therefor, and dispose of the same, at not less than par, for an amount sufficient to make up the original capital or the commissioner may, in his discretion, permit the company to reduce its capital and the par value of its shares in proportion to the extent of the impairment, but the capital shall at no time be reduced to an amount less than that required by law for the organization of any such company. In fixing such reduced capital, not more than fifty per cent of the original capital shall be deducted from the assets on hand to be retained as surplus funds, nor shall any part of assets be distributed to stockholders. When the amount of capital prescribed by the commissioner has been restored, the title insurance company shall so notify the commissioner who, upon being satisfied that the impairment no longer exists and is not likely to recur, shall give written approval authorizing the title insurance company to again issue such policies or contracts or reinsurance agreements of title insurance.